Task - (3,000-word Report)

Task - (3,000-word Report)

You are asked to visit the website of a listed company of your choice such as The New York Stock Exchange or The London Stock Exchange or The Shanghai Stock Exchange or any other stock exchange where you can find publicly available information and download its financial statements (I would choose Shell). You are asked to prepare a report to discuss the company and its financial performance using the techniques you have been taught during the module. It is highly recommended to use the financial ratios analysis approach by discussing each ratio you will calculate, while a complete report must include the limitations of the ratio analysis.

General Guidance

Your assignment should be MS Word processed, using Times New Roman size 12 font, double spaced, with numbered pages. The word limit stated for this assignment excludes the list of references at the end of the assignment but includes all text in the main body of the assignment (including direct quotations, in-text citations, footnotes, tables, diagrams and graphs). Please be aware that exceeding the word limit will affect the academic judgement of the piece of work and may result in the award of a lower mark. Appendices are not considered a supplement thus will not be assessed as part of the content of the assignment. As such, they will not contribute to the grade awarded, however it may be appropriate to use an Appendices section for any material which is a useful reference for the reader. Please note that appendices are not included in the word count. The majority of references should come from secondary sources (e.g. journal articles, conference papers, reports, etc.) although you can also utilise area specific textbooks. You must ensure that you use the Harvard style of referencing. Please indicate the word count length at the end of your assignment.

Learning outcomes applied in this assessment

LO1: Critically evaluate the purpose and use of the annual report and financial statements.

LO2: Appreciate culture on employee attitude and behaviour, in general and in relation to change.

The structure of a report

The main features of a report are described below to provide a general guide. These should be used in conjunction with the instructions or guidelines provided by your department.

Summary (Abstract)

The summary should briefly describe the content of the report. It should cover the aims of the report, what was found and a brief review of the conclusions. Aim for about 1/2 a page in length and avoid detail or discussion; just outline the main points. Remember that the summary is the first thing that is read. It should provide the reader with a clear, helpful overview of the content of the report.

Contents (Table of Contents)

The contents page should list the different chapters and/or headings together with the page numbers. Your contents page should be presented in such a way that the reader can quickly scan the list of headings and locate a particular part of the report. You may want to number chapter headings and subheadings in addition to providing page references. Whatever numbering system you use, be sure that it is clear and consistent throughout.

Introduction (400 words)

Setting the scene and outline of the approach taken in addressing the task. Background (relevant to the task) information about assignment describing scope, objectives, methods of investigation

Problem identification (1000 words)

Cleary discuss, financial performance analysis techniques, give background information about the company you have chosen and what is key about the company

Critical Discussion (1000 words)

Calculate and discuss the various ratios taught during the module and discuss them by utilizing related theory.

Ratios taught during the module:

Profitability analysis

ROE (return on equity) = net profit / equity

ROCE (return on capital employed) = operating profit / capital employed.

ROS (Return on sales) = operating profit / sales

ATO (Asset Turnover) = sales / capital employed

Solidity and solvency

Gearing = long term liabilities / equity

Interest cover = operating profit / finance costs

Liquidity

Current ratio = current assets / current liabilities

Quick ratio = (current assets inventory) / current liabilities

Debtors days = (trade debtors / sales) X 365

Creditors days = (trade creditors / purchases) X 365

Inventorys days = (inventory / cost of sales) X 365

Conclusion (600 words)

In the conclusion you should show the overall significance of what has been covered. You may want to remind the reader of the most important points that have been made in the report or highlight what you consider to be the most central issues or findings. However, no new material should be introduced in the conclusion. Remember to specifically answer the initial questions posed. Effective summary of key points

Layout and Referencing

High quality presentation that conforms to principles of academic writing and contains minimal errors in sentence construction, grammar, and punctuation.

A key feature of academic writing, the list of references should list - in alphabetical order by author - all published sources referred to in your report. The assignment followed appropriate academic conventions regarding in-text citations and referencing